United States

Trump To Impose Tariffs On Semiconductor Imports From Firms Not Moving Production To US 118

An anonymous reader quotes a report from Reuters: President Donald Trump said on Thursday his administration would impose tariffs on semiconductor imports from companies not shifting production to the U.S., speaking ahead of a dinner with major technology company CEOs. "Yeah, I have discussed it with the people here. Chips and semiconductors -- we will be putting tariffs on companies that aren't coming in. We will be putting a tariff very shortly," Trump said without giving an exact time or rate.

"We will be putting a very substantial tariff, not that high, but fairly substantial tariff with the understanding that if they come into the country, if they are coming in, building, planning to come in, there will not be a tariff," Trump told reporters. "If they are not coming in, there is a tariff," Trump said in his comments on semiconductors. "Like, I would say (Apple CEO) Tim Cook would be in pretty good shape," he added, as Cook sat across the table.
Further reading: Trump Basks in Tech Leaders' Spending Vows at White House Dinner
The Courts

Anthropic Agrees To Pay Record $1.5 Billion To Settle Authors' AI Lawsuit (deadline.com) 26

An anonymous reader quotes a report from Deadline: Anthropic has agreed to pay at least $1.5 billion into a class action fund as part of a settlement of litigation brought by a group of book authors. The sum, disclosed in a court filing on Friday, "will be the largest publicly reported copyright recovery in history, larger than any other copyright class action settlement or any individual copyright case litigated to final judgment," the attorneys for the authors wrote.

The settlement also includes a provision that releases Anthropic only for its conduct up the August 25, meaning that new claims could be filed over future conduct, according to the filing. Anthropic also has agreed to destroy the datasets used in its models. The settlement figure amounts to about $3,000 per class work, according to the filing.
You can read the terms of Anthropic's copyright settlement here (PDF). A hearing in the case is scheduled for Sept. 8.
AI

Uber India Starts Offering Drivers Gigs Collecting and Classifying Info For AI Models (theregister.com) 11

Uber's Indian arm has started using its app to offer rideshare and delivery drivers the chance to make money by classifying data used by AI systems. From a report: Megha Yethadka, global head of Uber AI Solutions, revealed the new gigs in a Thursday LinkedIn post in which she said drivers sometimes have downtime during the day or might want to make some extra cash after hours. Yethadka said the work can involve reviewing photos, counting objects, classifying text, recording audio, or digitizing receipts.

She said the gigs are "Powering our enterprise customers worldwide for their gen AI models or consumer applications." "Until now, these tasks were completed by independent contractors outside the app," Yethadka wrote. "The early results are very promising, and we're eager to scale this further." In an accompanying video, she mentioned "worldwide" expansion for the offering. Prabhjeet Singh, Uber's president for India and South Asia, said the gigs are available in 12 cities and that "tens of thousands of drivers" are already performing what Uber calls "digital tasks."

United Kingdom

UK Government Trial of M365 Copilot Finds No Clear Productivity Boost 84

A UK government trial of Microsoft's M365 Copilot found no clear productivity gains despite user satisfaction with tasks like summarizing meetings and writing emails. While the tool sped up some routine work, it actually slowed down more complex tasks like Excel analysis and PowerPoint creation, often producing lower-quality results. The Register reports: The Department for Business and Trade received 1,000 licenses for use between October and December 2024, with the majority of these allocated to volunteers and 30 percent to randomly selected participants. Some 300 of these people consented to their data being analyzed. An evaluation of time savings, quality assurance, and productivity was then calculated in the assessment (PDF). Overall, 72 percent of users were satisfied or very satisfied with their digital assistant and voiced disappointment when the test ended. However, the reality of productivity gains was more nuanced than Microsoft's marketing materials might suggest. Around two-thirds of the employees in the trial used M365 at least once a week, and 30 percent used it at least once a day -- which doesn't sound like great value for money. [...]

According to the M365 Copilot monitoring dashboard made available in the trial, an average of 72 M365 Copilot actions were taken per user. "Based on there being 63 working days during the pilot, this is an average of 1.14 M365 Copilot actions taken per user per day," the study says. Word, Teams, and Outlook were the most used, and Loop and OneNote usage rates were described as "very low," less than 1 percent and 3 percent per day, respectively. "PowerPoint and Excel were slightly more popular; both experienced peak activity of 7 percent of license holders using M365 Copilot in a single day within those applications," the study states. The three most popular tasks involved transcribing or summarizing a meeting, writing an email, and summarizing written comms. These also had the highest satisfaction levels, we're told.

Participants were asked to record the time taken for each task with M365 Copilot compared to colleagues not involved in the trial. The assessment report adds: "Observed task sessions showed that M365 Copilot users produced summaries of reports and wrote emails faster and to a higher quality and accuracy than non-users. Time savings observed for writing emails were extremely small. "However, M365 Copilot users completed Excel data analysis more slowly and to a worse quality and accuracy than non-users, conflicting time savings reported in the diary study for data analysis. PowerPoint slides [were] over 7 minutes faster on average, but to a worse quality and accuracy than non-users." This means corrective action was required.

A cross-section of participants was asked questions in an interview -- qualitative findings -- and they claimed routine admin tasks could be carried out with greater efficiency with M365 Copilot, letting them "redirect time towards tasks seen as more strategic or of higher value, while others reported using these time savings to attend training sessions or take a lunchtime walk." Nevertheless, M365 Copilot did not necessarily make them more productive, the assessment found. This is something Microsoft has worked on with customers to quantify the benefits and justify the greater expense of a license for M365 Copilot.
The Courts

Mark Zuckerberg Sues Mark Zuckerberg (techcrunch.com) 55

An Indiana bankruptcy lawyer named Mark Zuckerberg is suing Meta after his Facebook page was repeatedly shut down for "impersonating" CEO Mark Zuckerberg, despite being his real legal name. TechCrunch reports: Mark Zuckerberg the lawyer uses a commercial Facebook page to advertise his legal practice and communicate with potential clients. But his page has been disabled five times in the last eight years, since Meta's moderation systems flag his account as falsely impersonating Mark Zuckerberg, the founder of the platform. Mark Zuckerberg is not impersonating Mark Zuckerberg, because he, too, is Mark Zuckerberg. In his legal complaint, Mark Zuckerberg points out that he has been practicing law since Mark Zuckerberg was just three years old.

"It's not funny," Mark Zuckerberg, the lawyer, said to Indianapolis' 13WTHR. "Not when they take my money. This really pissed me off." Mark Zuckerberg has spent over $11,000 to advertise his page on Mark Zuckerberg's Meta platforms, but when Mark Zuckerberg's account is disabled for allegedly impersonating Mark Zuckerberg, Mark Zuckerberg still has to pay for these advertisements.
Zuckerberg created a website, iammarkzuckerberg.com, chronicling how his life has been shaped by being named Mark Zuckerberg.

The lawsuit can be found here.
The Courts

Warner Bros. Discovery Sues Midjourney For Copyright Infringement 77

Warner Bros. Discovery has filed a major copyright lawsuit against Midjourney, accusing the AI image generator of exploiting its movies and TV shows to train models and generate near-identical reproductions of iconic characters like Batman, Bugs Bunny, and Rick and Morty. From The Hollywood Reporter: The company "brazenly dispenses Warner Bros. Discovery's intellectual property" by letting subscribers produce images and videos of iconic copyrighted characters, alleges the complaint, filed on Thursday in California federal court. "The heart of what we do is develop stories and characters to entertain our audiences, bringing to life the vision and passion of our creative partners," said a Warner Bros. Discovery spokesperson in a statement. "Midjourney is blatantly and purposefully infringing copyrighted works, and we filed this suit to protect our content, our partners, and our investments."

For years, AI companies have been training their technology on data scraped across the internet without compensating creators. It's led to lawsuits from authors, record labels, news organizations, artists and studios, which contend that some AI tools erode demand for their content. Warner Bros. Discovery joins Disney and Universal, which earlier this year teamed up to sue Midjourney. By their thinking, the AI company is a free-rider plagiarizing their movies and TV shows. In the lawsuit, Warner Bros. Discovery points to Midjourney generating images of iconic copyrighted characters. At the forefront are heroes who're at the center of DC Studios' movies and TV shows, like Superman, Wonder Woman and The Joker; others are Looney Tunes, Tom and Jerry and Scooby-Doo characters who've become ubiquitous household names; more are Cartoon Network characters, including those from Rick and Morty, who've emerged as something of cultural touchstones in recent years. [...]

The lawsuit argues Midjourney's ability to return copyrighted characters is a "clear draw for subscribers," diverting consumers away from purchasing Warner Bros. Discovery-approved posters, wall art and prints, among other products that must now compete against the service. [...] Warner Bros. Discovery seeks Midjourney's profits attributable to the alleged infringement or, alternatively, $150,000 per infringed work, which could leave the AI company on the hook for massive damages. The thrust of the studios' lawsuits will likely be decided by one question: Are AI companies covered by fair use, the legal doctrine in intellectual property law that allows creators to build upon copyrighted works without a license?
The lawsuit can be found here.
The Courts

Calling Boss a Dickhead Was Not a Sackable Offense, Tribunal Rules (theguardian.com) 103

An anonymous reader quotes a report from The Guardian: Managers and supervisors brace yourselves: calling the boss a dickhead is not necessarily a sackable offense, a tribunal has ruled. The ruling came in the case of an office manager who was sacked on the spot when -- during a row -- she called her manager and another director dickheads. Kerrie Herbert has been awarded almost 30,000 pounds in compensation and legal costs after an employment tribunal found she had been unfairly dismissed.

The employment judge Sonia Boyes ruled that the scaffolding and brickwork company she worked for had not "acted reasonably in all the circumstances in treating [her] conduct as a sufficient reason to dismiss her." "She made a one-off comment to her line manager about him and a director of the business," Boyes said. "The comment was made during a heated meeting. "Whilst her comment was not acceptable, there is no suggestion that she had made such comments previously. Further ... this one-off comment did not amount to gross misconduct or misconduct so serious to justify summary dismissal." [...]

Boyes found that Herbert was summarily fired because of her use of the word "dickheads" and ruled that the company had failed to follow proper disciplinary procedures. She concluded that calling her bosses dickheads was not sufficient to fire Herbert and ordered the firm to pay 15,042.81 pounds in compensation. In her latest judgment she also ruled it had to pay 14,087 pounds towards her legal fees.
"If it was anyone else in this position they would have walked years ago due to the goings-on in the office, but it is only because of you two dickheads that I stayed," said Herbert.

Swannell retorted: "Don't call me a fucking dickhead or my wife. That's it, you're sacked. Pack your kit and fuck off."
The Courts

Supermarket Giant Tesco Sues VMware, Warns Lack of Support Could Disrupt Food Supply (theregister.com) 77

Tesco is suing Broadcom and reseller Computacenter for at least $134 million, claiming that VMware's perpetual license support agreements were breached after Broadcom's acquisition. The supermarket giant warned it "may not be able to put food on the shelves if the situation goes pear-shaped," writes The Register's Simon Sharwood. From the report: Court documents seen by The Register assert that in January 2021 Tesco acquired perpetual licenses for VMware's vSphere Foundation and Cloud Foundation products, plus subscriptions to Virtzilla's Tanzu products, and agreed a contract for support services and software upgrades that run until 2026. Tesco claims VMware also agreed to give it an option to extend support services for an additional four years. All of this happened before Broadcom acquired VMware and stopped selling support services for software sold under perpetual licenses. Broadcom does sell support to those who sign for its new software subscriptions.

The supermarket giant says Broadcom's subscriptions mean it must pay "excessive and inflated prices for virtualization software for which Tesco has already paid," and "is unable any longer to purchase stand-alone Virtualization Support Services for its Perpetually Licensed Software without also having to purchase duplicative subscription-based licenses for those same Software products which it already owns." The complaint also alleges that Tesco's contracts with VMware include eligibility for software upgrades, but that Broadcom won't let the retailer update its perpetual licenses to cover the new Cloud Foundation 9.

The filing names Computacenter as a co-defendant as it was the reseller that Tesco relied on for software licenses, and the retailer feels it's breached contracts to supply software at a fixed price. Tesco's filing also mentions Broadcom's patch publication policy, which means users who don't acquire subscriptions can't receive all security updates and don't receive other fixes. The retailer thinks its contracts mean it is entitled to those updates. The filing suggests that lack of support is not just a legal matter, but may have wider implications because VMware software, and support for it "are essential for the operations and resilience of Tesco's business and its ability to supply groceries to consumers across the UK and Republic of Ireland."

"VMware Virtualization Software underpins the servers and data systems that enable Tesco's stores and operations to function, hosting approximately 40,000 server workloads and connecting to, by way of illustration, tills in Tesco stores," the filing states. Tesco's filing warns that Broadcom, VMware, and Computacenter are each liable for at least $134 million damages, plus interest, and that the longer the dispute persists the higher damages will climb.

Piracy

Streameast, World's Largest Illegal Sports Streaming Platform, Shut Down in Sting (nytimes.com) 47

Streameast -- the world's largest illegal sports streaming platform -- has been shut down after a year long investigation, according to a leading United States-based anti-piracy organisation. From a report: The network of 80 unauthorised domains generated 1.6billion combined visits over the past year, providing free access to global sports fixtures, including Europe's top football leagues and competitions, such as the Premier League and Champions League, as well as the NFL, NBA and MLB.

The Athletic has been informed by the Alliance for Creativity and Entertainment (ACE) -- a coalition of 50 media and entertainment organisations including Amazon, Apple TV+, Netflix and Paramount -- that an operation alongside Egyptian law enforcement officials took place on Sunday August 24 to disrupt Streameast's dominant position in the illegal streaming market.

Traffic to the site reached 136million average monthly visits, with domains primarily originating from the U.S., Canada, the United Kingdom, the Philippines and Germany.

Google

Google Critics Think the Search Remedies Ruling is a Total Whiff (theverge.com) 41

Critics are denouncing Tuesday's antitrust remedies ruling against Google, calling them inadequate to restore search market competition. DuckDuckGo said the court's decision allows Google to continue using its monopoly to hold back competitors in AI search.

The Open Markets Institute called it "pure judicial cowardice" that leaves Google's power "almost fully intact." Senator Amy Klobuchar said the limited remedies demonstrate why Congress needs to pass legislation stopping dominant platforms from preferencing their own products. The News/Media Alliance criticized Judge Amit Mehta for failing to address Google forcing publishers to provide content for AI offerings to remain in search results.
The Courts

Amazon Must Face US Nationwide Class Action Over Third-Party Sales (reuters.com) 25

An anonymous reader quotes a report from Reuters: Amazon.com must face a class action on behalf of hundreds of millions of U.S. consumers over claims that the online retail giant overcharged for products sold by third-party sellers, a federal judge in Seattle has ruled. U.S. District Judge John Chun in an order (PDF) unsealed on Friday certified a nationwide class involving 288 million customers and billions of transactions, marking one of the largest-ever in the United States.

The class includes buyers in the United States who purchased five or more new goods from third-party sellers on Amazon since May 26, 2017. The consumers' 2021 lawsuit said Amazon violated antitrust law by restricting third-party sellers from offering their products for lower prices elsewhere on rival platforms while they are also for sale on Amazon. Amazon's policies have allowed the company to impose inflated fees on sellers, causing shoppers to pay higher prices for purchases, the lawsuit said. Amazon has denied any wrongdoing. It has already appealed Chun's class certification order, which was first issued under seal on Aug. 6.

Amazon argued that the class was too large to be manageable and that the plaintiffs failed to show its alleged conduct had a widespread effect. Amazon also said that since 2019 it has not used a pricing program that the plaintiffs challenged. Chun found there was no evidence at this stage that the size of the class was overbroad. Other federal courts had certified class actions with millions or hundreds of millions of class members, the judge said.

The Courts

Google Gets To Keep Chrome But Is Barred From Exclusive Search Deals, Judge Rules (cnbc.com) 30

A federal judge spared Google from the harshest penalties in its antitrust case. The search giant can keep Chrome and avoid breaking up Android, but it has been barred from exclusive contracts and ordered to limit data sharing with rivals. CNBC reports: U.S. District Judge Amit Mehta ruled against the most severe consequences that were proposed by the U.S. Department of Justice, including selling off its Chrome browser, which provides data that helps its advertising business deliver targeted ads. "Google will not be required to divest Chrome; nor will the court include a contingent divestiture of the Android operating system in the final judgment," the decision stated. "Plaintiffs overreached in seeking forced divesture of these key assets, which Google did not use to effect any illegal restraints."

The company can make payments to preload products, but it cannot have exclusive contracts, the decision stated. The DOJ asked Google to stop the practice of "compelled syndication," which refers to the practice of making certain deals with companies to ensure its search engine remains the default choice in browsers and smartphones. [...] The judge ordered the parties to meet by September 10th for the final judgement.

"Google will not be barred from making payments or offering other consideration to distribution partners for preloading or placement of Google Search, Chrome, or its GenAI products. Cutting off payments from Google almost certainly will impose substantial -- in some cases, crippling -- downstream harms to distribution partners, related markets, and consumers, which counsels against a broad payment ban." [...] Google said it will appeal the ruling, which would delay any potential penalties. Mehta ruled Tuesday that Google will have to make available certain search index data and user interaction data though "not ads data." The court narrowed the datasets Google will be required to share and said they must occur on "ordinary commercial terms that are consistent with Google's current syndication services."

DRM

Lawsuit Says Amazon Prime Video Misleads When You 'Buy' a Long-Term Streaming Rental (arstechnica.com) 77

"Typically when something is available to "buy," ownership of that good or access to that service is offered in exchange for money," writes Ars Technica.

"That's not really the case, though, when it comes to digital content." Often, streaming services like Amazon Prime Video offer customers the options to "rent" digital content for a few days or to "buy" it. Some might think that picking "buy" means that they can view the content indefinitely. But these purchases are really just long-term licenses to watch the content for as long as the streaming service has the right to distribute it — which could be for years, months, or days after the transaction. A lawsuit recently filed against Prime Video challenges this practice and accuses the streaming service of misleading customers by labeling long-term rentals as purchases. The conclusion of the case could have implications for how streaming services frame digital content...

[The plaintiff's] complaint stands a better chance due to a California law that took effect in January banning the selling of a "digital good to a purchaser with the terms 'buy,' 'purchase,' or any other term which a reasonable person would understand to confer an unrestricted ownership interest in the digital good, or alongside an option for a time-limited rental." There are some instances where the law allows digital content providers to use words like "buy." One example is if, at the time of transaction, the seller receives acknowledgement from the customer that the customer is receiving a license to access the digital content; that they received a complete list of the license's conditions; and that they know that access to the digital content may be "unilaterally revoked...."

The case is likely to hinge on whether or not fine print and lengthy terms of use are appropriate and sufficient communication. [The plaintiff]'s complaint acknowledges that Prime Video shows relevant fine print below its "buy" buttons but says that the notice is "far below the 'buy movie' button, buried at the very bottom" of the page and is not visible until "the very last stage of the transaction," after a user has already clicked "buy."

Amazon is sure to argue that "If plaintiff didn't want to read her contract, including the small print, that's on her," says consumer attorney Danny Karon. But he tells Ars Technica "I like plaintiff's chances. A normal consumer, after whom the California statute at issue is fashioned, would consider 'buy' or 'purchase' to involve a permanent transaction, not a mere rental... If the facts are as plaintiff alleges, Amazon's behavior would likely constitute a breach of contract or statutory fraud."
Government

400 'Tech Utopian' Refuges Consider New Crypto-Friendly State (latimes.com) 80

"Nearly 400 students, many of them entrepreneurs, have so far made the journey to Forest City to study everything from coding to unconventional theories on statehood," reports Bloomberg.

"They're building crypto projects, fine-tuning their physiques and testing whether a shared ideology — rather than just shared territory — can bind a community." They have descended on Forest City to attend Network School, the brainchild of former Coinbase Inc. executive and "The Network State" author Balaji Srinivasan. In this troubled megaproject once envisaged to house some 50 times its current population, they're conducting a real-life experiment of sorts with Srinivasan's vision of "startup societies" defined less by historical territory than shared beliefs in technology, cryptocurrency and light regulation... Mornings are spent in product sprints and coding sessions; afternoons in seminars exploring topics from the Meiji Restoration to Singapore's statecraft and the mechanics of decentralized governance. Guest lectures double as both technological deep dives and ideological sermons, according to half a dozen students interviewed by Bloomberg. The campus also mirrors Silicon Valley's infatuation with longevity and health, right down to a commercial-grade gym and specially designed workout routines. Students follow a protein-heavy diet...

After co-founding DNA testing startup Counsyl in 2008 and serving as its chief technology officer, Srinivasan spent five years at venture capital firm Andreessen Horowitz, first as general partner and then as board partner. He joined Coinbase as CTO in 2018 when the crypto exchange bought a portfolio company he oversaw and left after a little over a year, according to his LinkedIn profile. In a 2013 speech at Y Combinator's Startup School, Srinivasan brought his ideas about what he saw as a fundamental conflict between some modern nation-states and innovation to a wider audience. In the address, he advocated for Silicon Valley's "ultimate exit" from the U.S., which he argued was obsolete and hostile to innovators. In essence: If the society you live in is broken, why not just "opt out" and create a new one?

"The Network State: How To Start a New Country," published in 2022, expanded on Srinivasan's "exit" concept to outline how online, ideologically aligned communities can use crypto and digital tools to form new, decentralized states. A network state can be geographically dispersed and bound together by the internet and blockchains, he says, and the aim is to gain diplomatic recognition... On the Moment of Zen podcast in September 2023, he outlined how the "Gray Tribe" — entrepreneurs, innovators and thinkers — can retake control of San Francisco from the Blues using a variety of tactics, like allying with local police. The effort would involve gaining control of territory, according to Srinivasan, who didn't advocate for violence. "Elections are just the cherry on the cake," he said. "Elections are just a reflection of your total control of the streets."

The cost of attending Network School "starts at $1,500 per month, including lodging and food, for those who opt for a shared room."
AI

OpenAI Is Scanning Users' ChatGPT Conversations and Reporting Content To Police (futurism.com) 69

Futurism reports: Earlier this week, buried in the middle of a lengthy blog post addressing ChatGPT's propensity for severe mental health harms, OpenAI admitted that it's scanning users' conversations and reporting to police any interactions that a human reviewer deems sufficiently threatening.

"When we detect users who are planning to harm others, we route their conversations to specialized pipelines where they are reviewed by a small team trained on our usage policies and who are authorized to take action, including banning accounts," it wrote. "If human reviewers determine that a case involves an imminent threat of serious physical harm to others, we may refer it to law enforcement."

The announcement raised immediate questions. Don't human moderators judging tone, for instance, undercut the entire premise of an AI system that its creators say can solve broad, complex problems? How is OpenAI even figuring out users' precise locations in order to provide them to emergency responders? How is it protecting against abuse by so-called swatters, who could pretend to be someone else and then make violent threats to ChatGPT in order to get their targets raided by the cops...? The admission also seems to contradict remarks by OpenAI CEO Sam Altman, who recently called for privacy akin to a "therapist or a lawyer or a doctor" for users talking to ChatGPT.

"Others argued that the AI industry is hastily pushing poorly-understood products to market, using real people as guinea pigs, and adopting increasingly haphazard solutions to real-world problems as they arise..."

Thanks to long-time Slashdot reader schwit1 for sharing the news.

Slashdot Top Deals